University is required to report eligible tuition payment and scholarship and grant disbursements to the IRS each tax year. It is important for you to understand that your financial aid might be considered taxable income, and therefore must be reported. Information on reporting and paying these taxes is included below.
Our University is required to report eligible tuition payment and scholarship and grant disbursements to the IRS each tax year on Form 1098-T. As a student, you will receive a copy of this form by January 31st each year, which can be used to help determine whether you qualify for certain educational tax credits. Visit FSU Student Business Services for more information on Form 1098-T.
Your scholarships, fellowships, and grants can potentially be taxed if they meet the following criteria:
- Funds that are used for incidental expenses, otherwise known as non-qualified expenses. These include room and board, travel, and optional equipment.
- Funds that are received as payment for teaching, research, or other services. These do not include National Health Service Corps Scholarships or Armed Forces Health Professions Scholarships.
Subtracting your qualified expenses from your gross fellowship amount will estimate your taxable amount.